Russo-Norwegian Barents Sea LNG cooperation

September 9, 2004, 10:00 CEST

On September 8, 2004 in Moscow, Alexey Miller, Chairman of Executive Board of OAO Gazprom, Sergey Bogdanchikov, President of OAO NK Rosneft and Helge Lund, President and CEO of Statoil ASA (Norway) signed a Memorandum of Understanding.

The Memorandum provides for conducting 6 months joint studies of the following projects:

- first phase of the Shtokmanovskoye gas condensate field (SGCF) including LNG plant construction and Statoil ASA participation in this project;

- the Russian Party’s participation in the Statoil ASA operated Snøhvit LNG project offshore Norwegian Barents sea;

- the Russian Party’s participation in the use of Statoil ASA regasification capacities in North America

Shtokmanovskoye is located in the Russian part of the Barents Sea, 600 kilometres north of Murmansk. (Illustration: Liv Ims)

To control the course of studies a trilateral Management Committee and a Working Group will be established.

“The Memorandum signed today opens a new page in our cooperation with Statoil. We have giant gas reserves offshore Barents Sea and Statoil has LNG production and transportation experience and market access to the North American market, which is strategically important for us. By joining forces for studying these promising projects we will be able to achieve good results” - Alexey Miller said after signing the Memorandum.

“The Arctic offshore has been and remains a region of strategic interests for Rosneft. We consider this beginning of close cooperation with Statoil in the Barents Sea as an important step forward for a commercial development of the giant oil and gas reserves in this region” – Sergey Bogdanchikov pointed out.

“Statoil sees the Barents Region as a natural growth area for Statoil. We look forward to a fruitful long-term cooperation with Gazprom and Rosneft, initially focusing on sharing with them our experience from the development of the Snøhvit LNG project and our ability to market this gas in North America” - Helge Lund underlined.

Press Service

OAO Gazprom tel. (095) 719-34-41, fax (095) 718-63-84, e-mail:

OAO NK Rosneft, tel. (095) 777-47-88, fax. (095) 231-40-65,

Statoil ASA, Kai Nielsen, tel. +47 97041332,